According to new Statistics Canada data, the aggregate value of manufacturing shipments* in Alberta ticked up by 0.9% to reach $8.7 billion in May, growing for the second month in a row.

Manufacturing shipments in Alberta are largely resource-based with refined petroleum (27%), food (23%), chemical (15%) and wood (5%) products constituting the major sub-sectors in 2023. Shipments peaked in 2022 when surging industrial prices pushed up the value of Alberta’s manufacturing sales.

The manufacturing sector in Alberta had a slower start to the year as lower prices, especially for chemicals and refined petroleum products, pulled back factory revenues by 5.3% year-over-year in the first quarter.

Momentum has picked up a bit since then, but year-to-date (YTD) revenues remain 2.7% lower compared to the first five months of 2023. Lower revenues for refined petroleum and chemical products continue to outweigh gains in food, wood and electrical equipment.

The story is similar at the national level as sales were down by 2.2% YTD with declines observed in seven out of ten provinces.

Looking ahead, factory revenues will ebb and flow with prices, but expanded capacity in food processing and petrochemicals is expected to provide a boost to volumes over the next three years. 

*All data in today’s Twenty-Four have been adjusted for seasonal variation.

Answer to the previous trivia question: Attendance at the Calgary Stampede broke the one million mark for the first time in 1976.

Today’s trivia question: Where in Edmonton’s KDays held?